: RedHill Biopharma’s stock soars 10% after company gets U.S. funding to develop treatment for radiation sickness

RedHill Biopharma Ltd.’s stock RDHL soared 10% premarket after the company said it has received a further $1.7 million in U.S. government funding for its partner, Apogee, to develop a treatment for gastrointestinal acute radiation syndrome. The grant from the Small Business Innovation Research fund will go to develop opaganib, an oral, small molecule pill with a five-year shelf live. The treatment is being developed using animal model efficacy studies as the basis for approval by the U.S. Food and Drug Administration, instead of human efficacy trials. “In light of ongoing regional geo-political instabilities, it is important for us to bring together all the pieces of the development jigsaw for opaganib as a potential medical countermeasure for acute radiation syndrome,” said Dror Ben-Asher, CEO of Tel Aviv-based RedHill. The company has also received funding from the U.S. Government Radiation and Nuclear Countermeasures Program. Ben-Asher said opaganib is also being evaluated as a treatment for COVID-19 and other indications. Radiation sickness is rare but could affect large numbers of people in the event of a nuclear accident or attack. RedHill’s U.S.-listed stock has fallen 67% in the year to date, while the S&P 500 SPX has gained 18%.

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